BYASST. PROF SNEHA MISHRA

PRODUCT MIX AND PRODUCT MIX AND PRODUCTPRODUCT LINE LINEThe product mix is the full list of all

products offered for a sale by a company.A product mix has two dimensions:

Breadth (Width) - Different lines.Depth - Assortment within a line.

A product line is a broad group of products, intended for essentially similar uses and possessing reasonably similar physical characteristics.

BREADTH (DIFFERENT LINES)

Lawn mowers Gardening tools Lawn furniture

Power rotary

Power reel

Hand-powered

DEPTH

(ASSORTMENT

WITHIN A LINE) Rakes

Hoes

Shovels

Chairs

Chaise lounges

Benches

Each in varioussizes and prices

Each in varioussizes and prices

Various sizes and prices in redwood or aluminum withplastic webbing

ONE MODEL FOREACH OF A FEWSIMILAR PRODUCTLINES

MANY MODELSFOR EACH OF AFEW SIMILARPRODUCT LINES

ONE MODEL FOR EACHOF SEVERALDIFFERENT PRODUCTLINES

MANY MODELSFOR EACH OFSEVERAL DIFFERENTPRODUCT LINES

WIDTH

NARROW

WIDE

DEPTHSHALLOW DEEP

Detergents Toothpaste Bar Soap Deodorants DisposableDiapers

Coffee

Ivory Snow1930Dreft 1933Tide 1946Joy 1949Cheer 1950Oxydol 1952Dash 1954Cascade1955Duz 1956Ivory Liquid1957Gain 1966Dawn 1972Era 1972Bold 3 1976

Gleem 1952Crest 1955

Ivory 1879Camay1927Lava 1928Kirk's 1930Zest 1952Safeguard1963Coast 1974

Secret 1879Sure 1972

Pampers 1961Luvs 1976

Folger's 1963Instant Folger's1963High Point Instant1975Floger's Flaked Coffee1977

MAJOR PRODUCT MIX STRATEGIESMAJOR PRODUCT MIX STRATEGIESExpansion of Product Mix

Breadth - Mix extension.Depth - Line extension.

Contraction of Product MixBreadthDepth

Alteration of Existing ProductsPositioning the Product

Position is the image that the product projects in relation to competitive products and to other products marketed by the company.

Perceptual Map of Six Graduate Business Schools - Simple Space

Qualitative Curriculum

Harvard

Chicago StanfordWharton Prestige

Carnegie

Massachusetts Institute of Technology

Quantitative curriculum

HighVisibility

Long Life

SummerCottage

Luxury Home

Luxury HomeFurnishings

ForeignVacations

Luxury Car

Short Life

Low Visibility

Has a Touch of Classa Car I’d Be Proud to OwnDistinctive Looking

PorscheBMW

Pontiac

LincolnCadillac

MercedesChrysler

BuickOldsmobile

ConservativeLookingAppeals toOlder People

Ford

Dodge

Plymouth

Has SpiritedPerformanceAppeals to Young PeopleFun to DriveSporty Looking

Chevrolet

Datsun

Toyota

VW

Very PracticalProvides Good Gas MileageAffordable

Low Status

HighStatus

Low Price

High Price

SassonCalvin Klein

JordacheI1 (Status seeker)

Lee Levi

I2 (Dependable shopper)

Gap store brand

I3 (Economizer)

Low-priced

High-priced

Light

Heavy

AD

CB

Hamm’s

Miller

1

2

6

4

3

5

8

97

Schlitz

Budweiser

Excalibur

Eagle 1

NuFinish

Turtle Wax

MothersMcGuires

Wax Shop

Rain Dance

Blue Coral

0

2

8

6

4

10Zymol

IMAGE 10

Polish

4 6 8 10

Pri

ce

Quality

TRADING UP AND TRADING DOWNTRADING UP AND TRADING DOWNTrading up: Adding a higher-priced, prestige

product to a line in the hope of increasing the sales of existing lower-priced products.

Trading down: Adding a lower-priced item to a line of prestige products in the hopes that people who cannot afford the original product will want to buy the new one, because it carries some of the status of the higher-priced good.

ProblemsMay confuse buyersSales are at the expense of older productsMay permanently harm company

reputation

PRODUCT DIFFERENTIATION PRODUCT DIFFERENTIATION AND MARKET SEGMENTATIONAND MARKET SEGMENTATION

Product differentiation: Developing and promoting an awareness of differences between one company's product and those of competitors

Market Segmentation: To develop different products each one suited to one or more segments of the market.